Government of India provided details on GST collections over the past five financial years, showing a steady increase in revenue from both domestic sources and imports. However, it does not maintain data on the proportional contribution of different income groups to GST payments. In response to concerns about the tax burden on economically weaker sections, the government clarified that GST rates are not based on consumer income levels but have been structured to exempt or lower taxes on essential goods primarily used by lower-income groups. Any changes to GST rates or exemptions are made based on recommendations from the GST Council, which includes representatives from both the central and state governments. The Council periodically reviews and amends tax rates to ensure fair implementation.
GOVERNMENT OF INDIA
MINISTRY OF FINANCE
DEPARTMENT OF REVENUE
RAJYA SABHA
UNSTARRED QUESTION NO. 232
GST collections
232. SMT. RENUKA CHOWDHARY:
Will the Minister of FINANCE be pleased to state:
(a) the total amount of GST collected along with proportional contribution from the lowest income groups, middle-income groups and high-income groups in the last five years;
(b) whether Government is considering to ensure that GST does not unruly burden the economically weaker sections of society, given the disproportionate tax burden suggested by some independent reports;
(c) the steps taken to exempt or reduce GST on goods and services primarily consumed by the lower-income population; and
(d) whether Government has any plans to review the structure of GST and ensure that its implementation is fairer, particularly towards the disadvantaged sections of society?
ANSWER
THE MINISTER OF STATE IN MINISTRY OF FINANCE
(SHRI PANKAJ CHAUDHARY)
(a) The details of gross Goods and Services Tax (GST) collection on all supplies (Domestic + Imports) during the last five financial years are given as under:
(In Rs. Crores)
| FY 2020-21 | FY 2021-22 | FY 2022-23 | FY 2023-24 | FY 2024-25 (till Dec, 2024) | |
| GST Collection (Domestic) | 865,841 | 1,097,546 | 1,324,984 | 1,523,248 | 1,237,405 |
| Imports | 270,964 | 385,746 | 482,695 | 495,001 | 396,161 |
| Total GST Collection | 1,136,805 | 1,483,292 | 1,807,679 | 2,018,249 | 1,633,566 |
However, the GST collection data of proportional contribution is not maintained.
(b) , (c) & (d): Even though the rates in GST are independent of the economic status of the consumer, the GST rates have been structured in a manner that goods majorly used by the economically weaker sections are either exempt or have been kept at a lower However, the GST rates and exemptions are prescribed on the recommendations of GST Council, which is a Constitutional body comprising of members from the Centre and the States/UTs, and based on the recommendations of the Council, amendments in the rates are carried out from time to time.
